If, until now, Russia has primarily been the recipient in its exchanges with North Korea, this trend now also appears to be shifting. Over the past two months, mounting intelligence reports have suggested that Moscow has not only transferred advanced air defence systems to Pyongyang – most likely the S-400 – but also reached an agreement to supply Kim’s regime with MiG-29 and Su-27 fighter jets. While these upgrades would still leave North Korea far behind the vastly superior capabilities of the combined US-South Korea forces, such transfers could potentially alter the security dynamics on the Korean Peninsula by depriving South Korea of its current absolute advantage in the air.
Furthermore, North Korea has recently unveiled its largest-ever warship equipped with what appears to be a vertical launching system capable of deploying cruise or anti-aircraft guided missiles. The ship’s design bears a striking resemblance to Russia’s Project Derzky, raising questions about potential Kremlin assistance. Although no reports directly link Russia to advancements in North Korea’s navy, Pyongyang’s first-time participation as an observer in recent Russian naval exercises suggests the possibility of ongoing or future collaboration in this domain.
While these transfers were long anticipated, claims that they are tied solely to North Korean troop deployments appear to be an overstatement. By most estimates, the value of the 11,000-strong North Korean contingent would barely exceed $314 million for one year of service – and this including the one-time bonuses Russia typically provides to new recruits.
For comparison, the cost of an S-400 air defence system ranges from $500 million to $1.3 billion, depending on the recipient country. China, for example, paid $500 million per regiment in 2014, Turkey $625 million in 2017, and India $1.3 billion in 2018. Even at the lowest price tag of $500 million, the value of the North Korean troop contribution would fall far short of covering the cost of a single S-400 system. The same applies to the cost of fighter jets.
Based on the uneven dynamics of exchanges between the two regimes and the likelihood that payments are structured as a barter system with some infusion of cash, Russia’s recent transfers appear to represent its share of a broader agreement likely reached sometime in 2023, with possible amendments in 2024. Factoring in the value of troop deployments and the recent expansion of supplied weaponry, alongside earlier estimates by the Friedrich Naumann Foundation, the total worth of the military deal between Moscow and Pyongyang now likely exceeds $7 billion. Even excluding the value of oil and food supplies, the remaining figure would comfortably account for Russia’s recent deliveries.
If a deferred barter system was indeed in place, it could explain Pyongyang’s extensive military shipments over the past two years and Moscow’s sudden willingness to share expensive advanced systems.